Blockchains are decentralized ledgers of record, with no single server having total control over the information that transfers through them. These networks will most likely comprise the infrastructure and basis of tomorrow’s internet. As such, blockchains now provide a naming service so that people can purchase and attach an easy-to-read address to their digital wallets. Welcome to Web3 domain names.
- How to get Web3 domain names and how they work
- ENS Domains
- SPACE ID
- Unstoppable Domains
- EDNS Domains
- NEAR Names
- Tezos Domains
- Yat
Blockchain domains are addresses used for sending and receiving cryptocurrency, similar to an email address. They are stored on a public ledger, accessible to anyone and secured through a smart contract.
They can be used in the metaverse and are technically NFTs. Once created, they remain in your crypto wallet permanently and cannot be taken away. However, some require a renewal fee.
How to get Web3 domain names and how they work
The process of registering a blockchain domain name is usually quite simple, but can be more complex, depending on the blockchain. For example, obtaining an ENS domain name requires holding ether, finding a free name, and securing it through a marketplace.
Once secured, the domain must be minted, which can involve costly gas fees and figuring out how to store the wallet keys. Blockchain domains are in high demand and prices are steadily increasing.
To simplify the process for brand owners, assistance is offered to coordinate strategies across various platforms such as the metaverse, cloud gaming, NFTs, and blockchains.
ENS Domains
ENS, or Ethereum Name Service, is an open-source and decentralized organization that converts long, complex Ethereum blockchain addresses into shorter, more easily readable human-friendly addresses.
DappRadar has integrated the ENS Domains collection into its platform, meaning you can log in using your ENS instead of your long wallet address. And of course, we have all the data you need to know when you’re deciding which name to buy.
Instead of using a string of 42 hexadecimal characters, ENS allows users to register a unique name, such as “DappRadar.eth” to represent their address. This simplifies the process of sending and receiving cryptocurrency and other assets.
ENS Domains are by far the most well-known and widely traded of the Web3 domain names. This is shown by the impressive sales volumes for the NFTs since the beginning of 2021. In January of that year people traded $558,344 worth of the domains.
During May 2022, around the time when traders were scrambling for three and four digit ENS Domains, trading volume for the collection hit $44.3 million for the month. This had dropped down $4.9 million during December 2022.
SPACE ID
SPACE ID is a universal name service network that is built on BINANCE Smart Chain. It aims to connect individuals, information, assets, and applications in the digital world in a seamless way.
SPACE ID is chain-agnostic, meaning it is not limited to a specific blockchain. It’s fully decentralized, meaning it operates on the peer-to-peer networks enabled by blockchain technology.
It’s also censorship-resistant, meaning it cannot be controlled or censored by any central authority. The code is open source, so it’s publicly available for anyone to use or contribute towards.
SPACE ID domains launched in July 2022. Since then, sales have climbed to a peak in September, 2022, when 25,114 unique traders bought and sold 36,744 of them. But in December 2022, 6,521 traders traded 10,229 SPACE IDs.
Unstoppable Domains
Unstoppable Domains has been developed to bridge the gap between Web2 and Web3. It does this by offering users the chance to own their own domain names on the Polygon blockchain.
These domains, such as DappRadar.crypto or DappRadar.zil, act as a link between a complex and long cryptocurrency wallet address, and a more easily readable name. This makes it easier for more people to connect with decentralized apps and exchanges.
The floor price for Unstoppable Domains peaked in August 2022, when it averaged out over the month at $12.54. In December of the same year, as crypto prices continued to fall and confidence in Web3 wavered, it dropped down to $5.22.
EDNS Domains
EDNS, or Ether Domain Name Services, EDNS went live on 12th April. It aims to make navigating the crypto and decentralized finance space easier by letting users create easy-to-remember nicknames for their public addresses and decentralized websites.
It was the first platform of its kind built on the Polygon blockchain, with the aim of enhancing user experience in the Web3 era. It does this by employing on-chain decentralized domain technology.
Sales for EDNS Domains hit a peak in July 2022, when 2,615 traders bought and sold 850,564 of the NFTs. In December, the number of people trading the items had gone up to 2,811. But the number of NFTs that were traded fell to 385,472.
NEAR Names
NEAR Names are the NEAR blockchain’s version of Web3 domain names. As with all blockchain domain names, think of them as personal web addresses, built on the NEAR Protocol.
They’re decentralized, so instead of being controlled by one big company, the community on the NEAR network controls them. You can use them to make your smart contract or public key on the NEAR blockchain more human-readable. They’re helpful for creating websites, accessing decentralized apps, and linking to your crypto wallet.
People started trading NEAR Names in July 2020, and during March 2021, 15,478 were traded. In September 2021, 12,046 traders bought and sold 416,231 NEAR Names, which shows that whales began accumulating them around this time. In December 2022, 6,132 traders traded 13,078 Names, which shows they were no longer viewed as such a good investment.
Tezos Domains
Tezos Domains is an open and distributed naming system that uses the Tezos blockchain. Its main function is to translate a user-friendly alias to its corresponding Tezos address and vice versa.
The domain names are stored on the Tezos blockchain. Audited, open-source smart contracts ensure that sending funds to a Tezos domain name is just as secure as sending to a regular address.
Tezos names are FA2-compliant NFTs, which means that you own and control them. They are stored securely in your wallet and only you can manage and move them. This is similar to how cryptocurrency is stored and managed.
Tezos Domains have been trading since April 2021 and peaked in September 2022 in terms of sales volume. People bought and sold $465,457 worth of the NFTs during that month. Interestingly, it was during January 2022 when the sales count for Tezos Domains reached its highest point, at 82,768.
Yat
Yat allows you to use emojis as your universal username and identity on the internet. A Yat domain name is a combination of one to five emojis that can serve as a digital username, website URL, and payment address for a Web3 digital wallet.
Yat is a combination of an NFT and a domain address, but while all Yats are tokenized, owners have the option to tokenize their string of emojis as an NFT on the Ethereum blockchain for an additional cost.
It’s important to note that purchasing a Yat is not the same as creating an NFT.
